If actual inflation differs from expected inflation, what is the slope of the Phillips curve?
A. The slope is horizontal in the short and long run.
B. The slope is upward sloping in the short run and vertical in the long run.
C. The slope is vertical in the short run and upward sloping in the long run.
D. The slope is downward sloping in the short run and vertical in the long run.
Answer: D
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Answer the following statement true (T) or false (F)
The median-voter theorem can help explain one reason why politicians tend to change their position on a given issue over the course of an election from:
A. extreme to moderate. B. moderate to extreme. C. extreme to more extreme. D. one extreme to the other.
Which of the following is true of the balance of payments accounts?
a. It records only the trade in tangible assets between any two nations. b. It is a record of a country's merchandise trade. c. It records the total external debt used to finance government budget deficits. d. It is recorded biannually in most developed countries. e. It records a country's trade in goods, services, and financial assets with the rest of the world.
Inflation refers to a one-time price increase in a particular market
a. True b. False Indicate whether the statement is true or false